Cord-cutters now have more options as AT&T debuts DirecTV Now, a streaming video service carrying more than 120 channels, the company said.

The contract-free streaming service launched Wednesday offering live TV, sports and on-demand channels with monthly fees starting at $35. Channels include ABC, NBC and Fox programming as well as AMC, CNN, Disney, ESPN, A&E, TBS and TNT, among others. CBS hasn’t signed on yet, the company said in a news release.

AT&T, which acquired satellite provider DirecTV for $49 billion in 2015, is launching DirecTV Now to capture the 20 million cord-cutters who no longer subscribe to cable or satellite services, according to the release.

"We're extending our entertainment portfolio for those who value premium content but also want more TV freedom suited for their lifestyle, whether watching at home or on their mobile devices," said John Stankey, AT&T Entertainment Group CEO, in the release. "This is TV your way."

Monthly costs are $35 for 60-plus channels; $50 for 80-plus channels; $60 for 100-plus channels; and $70 for more than 120 channels. HBO and Cinemax can be added for $5 each per month.

Courtesy/AT&T

Courtesy/AT&T

The app-based service streams content over an internet connection with devices like Apple TV, Amazon Fire TV and Google Chromecast, and on mobile devices and desktop computers. Roku streaming media devices will be added in 2017, AT&T said.

For a limited time, AT&T is offering 100 channels for $35 per month to entice customers to try the service. It's also giving new customers a free $149 Apple TV with three months of prepaid service or a free $40 Amazon Fire TV Stick with Alexa Voice Remote with one month of prepaid service.

DirecTV Now joins Sony PlayStation Vue and Sling TV in offering a la carte TV lineups previously only available through cable and satellite companies.